Aston Villa’s hopes of signing Liverpool starlet Jerome Sinclair this summer look set to be scuppered by Watford.

The 19-year-old has been the subject of interest from the Hornets for some time, with the Vicarage Road outfit trying and failing to land him in January as they failed to meet the Reds’ Â£3million valuation.

Having hung on to the teenager, the Merseysiders had hoped they could come to an agreement on a new deal before his current one expires this summer, but they have been left frustrated by Sinclair’s representatives.

Recent reports claimed Villa would make a bid for Sinclair in the summer in the hope he would agree to spearhead their bid for an immediate return to the Premier League next season, with relegation to the Championship now looking a certainty.

However, reports have emerged that Sinclair, who has only made two appearances for Liverpool, has agreed in principal to move to Watford in the hope he can further his career in the top flight.

A compensation fee is likely to be decided by a tribunal as Sinclair is under the age of 24 so is unable to leave on a free transfer.